Capturing the End of May Movement

Let me first point out that for those of you that are new to this newsletter when I refer to the market in this newsletter I am talking about the $SP500 unless otherwise stated.

Now onto the market,

We have the charts looking like a short sideways squeeze before an explosion in one direction or another. This explosion could happen later on this week and I believe based upon the bigger charts the explosive movement should be to the upside so I am prepared for that.

However we never get set on only trading one way or another. As traders we develop a plan, prepare, and then only trade that plan if the market agrees.

If, however, the market says do something different then we pivot and always trade with the direction that the charts tell us to trade in.

The upside movement when and if it takes place could then give way to some more significant decline in the mid part of June as earnings turns into warnings.

This theory is built on real historical reasearch that points out if a decline happens the path of least resistance and the one most big hedge funds will most likely take will be a mid June decline after or around June 7th or the 10th post May earnings as the warnings gets into full swing.

Do to the current sideways I cannot make a serious plan for a short list so currently I am waiting to see what shakes out and trading short intra day moves on the futures.

Upcoming Trades: My trading plan

This first half of the week I will plan to just trade intra day moves on the Micro E mini MNQ futures working to get my trading plan for this instrument to the point where I feel confident putting money into a futures trading account by the 1st week of June.

Ofcouse once I get this plan to where I am comfortable trading it with my own money then I will share it with all of you.

Still in my MSTR put that I should sell out of in the next few days.